Welcome to the Week in Review.
White House Announces Deals with Nine Pharmaceuticals Companies
This afternoon, the White House announced it has reached agreements with nine more pharmaceutical giants to lower the prices of certain prescription drugs for patients who purchase them directly, without insurance, through the administration’s new TrumpRx direct-to-consumer (DTC) program, expected to launch in January 2026. Steps to reduce drug prices for patients are welcomed, especially by patients who rely on one of the over-priced essential medicines named in today’s announcement, but voluntary agreements with drug companies — especially when key details remain undisclosed — are no substitute for durable, system-wide reforms. Further, we caution against any approach that encourages drug companies to raise prices for patients in other countries. Pharmaceutical corporations already generate massive profits in every country where they sell their products, and increasing drug prices internationally will do nothing for American patients. — [P4ADNow]
$16 Billion Sent to Cover Medicare Drug Spending
In the largest reconciliation payment since 2006, the federal government sent $16 billion to Medicare drug plans to cover higher-than-expected prescription drug spending. The surge reflects not only the growing use of high-cost cancer and GLP-1 drugs, but also the impact of the $2,000 out-of-pocket cap, which was introduced this year, and which ensures patients on Medicare never pay more than the out-of-pocket limit for their prescription drugs. The cap is a real win for patients — protecting people like Jackie from price spikes and financial hardship — but it doesn’t address the root cause of sky-high costs: the ability of pharmaceutical companies to set and raise prices at will. Drugmakers continue to raise list prices year after year, leaving Medicare and taxpayers to pick up the tab. Drugmakers continue to raise list prices year after year, leaving Medicare and taxpayers to pick up the tab. That’s why Medicare negotiation’s ability to target the underlying problem is so critical. It gives the government leverage to bring down drug list prices directly, establishing structural reforms that don’t merely shift costs around.— [STAT News, P4AD]
New AARP Report Extols Medicare Negotiation
Patients taking prescription drugs in the first round of Medicare negotiation are projected to see their out-of-pocket costs fall by an average of over 50% once the prices take effect on January 1, 2026, according to brand new analysis from AARP. The report also found that 7 of the 10 negotiated drugs are expected to cost patients under $100 per month in 2026, saving $1.5 billion in total patient out-of-pocket) spending next year alone. — [AARP]
P4AD Announces Retirement of Founder David Mitchell
This week, Patients For Affordable Drugs announced that Founder and President of the Board, David Mitchell, has retired. After his diagnosis with multiple myeloma and facing drug costs exceeding $300,000 a year, David founded Patients For Affordable Drugs in 2016 to ensure that patients would have a seat at the table in shaping the nation’s drug pricing policies. Today, the organization has grown into a community of half a million, and David’s relentless commitment to reforming the drug price system — without taking a penny from the industry — made him one of the most trusted and influential voices in the nation on this issue. — [P4AD]
ICYMI
P4AD CEO Merith Basey’s new op-ed in El Tiempo Latino celebrates the lower negotiated prices announced for the second round of Medicare negotiation — and what that means for patients in the Latino community in particular. The Latino community is 18% more likely to report being unable to afford healthcare costs and faces higher rates of illnesses such as diabetes and chronic liver disease, making outreach and education efforts in both English and Spanish critical. — [El Tiempo Latino]
Patient Advocate Spotlight: Jackie Trapp. P4AD Patient Advocate of the Year
Background: Multiple Myeloma, an incurable blood cancer
Drug: Revlimid ($180k / year before the $2k cap) and Xarelto
Background: Former high school teacher from Muskego, WI
From traveling to D.C. to meet with her lawmakers during our bipartisan Hill Day, to sharing her story in media interviews, to participating in a roundtable with HHS Secretary Kennedy and NIH Director Bhattacharya, Jackie has been at the forefront of patient advocacy in 2025. We’re proud to announce Jackie as our Patient Advocate of the Year!
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WASHINGTON, D.C. — The White House announced it has reached agreements with nine more pharmaceutical giants to lower the prices of certain prescription drugs for patients who purchase them directly, without insurance, through the administration’s new TrumpRx direct-to-consumer (DTC) program, expected to launch in January 2026.
Amgen, Bristol Myers Squibb, Boehringer Ingelheim, Genentech, Gilead Sciences, GSK, Merck, Novartis, and Sanofi have agreed to offer Most-Favored-Nation (MFN) prices on select medicines sold through the website and will provide state Medicaid programs access to MFN pricing on their products. The companies have also made an agreement to apply MFN prices to all new innovative medicines they bring to market, though the details of how this commitment will work, including any enforcement mechanisms, remain unclear.
The White House highlighted several examples of steep discounts that would apply through TrumpRx. These include Bristol Myers Squibb lowering the price of its HIV drug Reyataz from $1,449 to $217, Novartis reducing the price of its multiple sclerosis drug Mayzent from $9,987 to $1,137, and Boehringer Ingelheim cutting the price of its type 2 diabetes medication Jentadueto from $525 to $55, among others.
“When 47% of Americans are concerned they won’t be able to afford a health care cost next year, steps to reduce drug prices for patients are welcomed, especially by patients who rely on one of the over-priced essential medicines named in today’s announcement,” said Merith Basey, CEO of Patients For Affordable Drugs Now. “But voluntary agreements with drug companies — especially when key details remain undisclosed — are no substitute for durable, system-wide reforms. Patients are overwhelmingly calling on Congress to do more to lower prescription drug prices by holding Big Pharma accountable and addressing the root causes of high drug prices, because drugs don’t work if people can’t afford them.”
P4ADNow also cautions against any approach that encourages drug companies to raise prices for patients in other countries. Pharmaceutical corporations already generate massive profits in every country where they sell their products. Drug corporations set and raise prices in the U.S. because Congress allows it, and increasing prices internationally will do nothing to lower prices for American patients
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Patients For Affordable Drugs Now is the only national, patient advocacy organization focused exclusively on policies to lower drug prices. We empower and mobilize patients and allies, hold accountable those in power, and fight to shape and achieve system-changing policies that make prescription drugs affordable for all people in the United States. P4ADNow is bipartisan and does not accept funding from organizations that profit from the development or distribution of prescription drugs. To learn more, visit: PatientsForAffordableDrugsNOW.org
WASHINGTON, D.C. — Patients For Affordable Drugs has released the following statement on the retirement of its Founder and President of the Board, David Mitchell.
“After 15 years living with cancer and in continuous treatment, David Mitchell is stepping down as President of the Board and retiring from Patients For Affordable Drugs to focus on his health and family.
David was diagnosed with multiple myeloma, an incurable blood cancer, in 2010. Confronted with drug prices exceeding $300,000 a year, he founded Patients For Affordable Drugs in 2016 to ensure that patients would have a seat at the table in shaping the nation’s drug pricing policies. Today, the organization has grown into a community of half a million, with tens of thousands of patients having shared their stories and struggles with high drug prices.
For nearly a decade, David’s relentless commitment to reforming the drug price system – without taking a penny from the industry – made him one of the most trusted and influential voices in the nation on this issue.
David and other P4AD patient advocates played a pivotal role in advancing system-changing reforms and blocking numerous pharma-funded bills that would have harmed patients. Most critically, the drug price reforms in the Inflation Reduction Act – the most transformative piece of health legislation in decades – were passed in 2022, changing the trajectory of drug pricing in the United States. Across six Congresses and three administrations, both Democratic and Republican, David helped turn the tide against Big Pharma’s unchecked power.
As David takes time to focus on his family and ongoing fight against cancer, his legacy endures in the work ahead. While this marks the end of an extraordinary chapter, P4AD’s bipartisan community of patients and allies, led by a committed team, remains steadfast in carrying forward and building on David’s vision: a system in which every person in this country can get the medicines they need at prices they can afford.
To ensure a strong and seamless transition, Executive Director Merith Basey has been elevated to Chief Executive Officer, where she will continue to lead the organization’s mission and day-to-day work. In addition, two current board members, Charles Hurley and Robert Jones, will serve as the Chairs of the Patients For Affordable Drugs (C3) and Patients For Affordable Drugs Now (C4) boards, respectively. Over the next year, the board will be expanded to further strengthen governance and ensure continued momentum.
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Patients For Affordable Drugs Now is the only national, patient advocacy organization focused exclusively on policies to lower drug prices. We empower and mobilize patients and allies, hold accountable those in power, and fight to shape and achieve system-changing policies that make prescription drugs affordable for all people in the United States. P4ADNow is bipartisan and does not accept funding from organizations that profit from the development or distribution of prescription drugs. To learn more, visit: PatientsForAffordableDrugsNOW.org
Welcome to the Week in Review.
New MFN Deals Expected This Month
More most-favored-nation (MFN) drug pricing deals are expected this month, according to CMS Administrator Dr. Oz. Since the administration sent letters to 17 pharmaceutical companies in July demanding adherence to MFN pricing, only five — Pfizer, AstraZeneca, EMD Serono, Eli Lilly, and Novo Nordisk — have announced agreements. The Trump administration has used the threat of pharmaceutical tariffs to bring drugmakers to the table, but those tariffs have repeatedly been delayed. Months after the initial September deadline, the slow pace of new deals highlights the limits of voluntary, company-by-company agreements in securing broad price reductions. Despite the administration’s aggressive posture, most manufacturers have yet to engage — suggesting that without structural reform or enforcement mechanisms, pharma can continue to delay meaningful concessions while appearing cooperative. — [Washington Post, White House, Endpoints News, Truth Social, Reuters]
More Work Needed to Deliver Low-Cost Biosimilars
The FDA’s new draft guidance to accelerate biosimilar approvals is a promising step toward lowering drug costs, but experts say its potential impact is limited without broader reforms. The proposal, supported by P4AD, would remove unnecessary human trials, known as interchangeability studies, when advanced testing already shows that a biosimilar works the same as the brand-name drug and would make it easier for doctors and pharmacists to substitute lower-cost biosimilars, much like generic drugs. Still, barriers remain. Patent thickets, pay-for-delay agreements, and PBM practices continue to block or slow biosimilar entry, even years after approval. Biologics make up more than half of U.S. prescription drug spending, with biosimilars accounting for less than 20% of the market share. Biosimilars have generated $56 billion in savings since 2015, and expanding their use would unlock further savings for patients and for taxpayers. In interviews, experts noted that fixing these problems is critical to ensuring the FDA’s action translates into real affordability for patients. P4AD has been pushing for comprehensive bipartisan reform measures that would help close these loopholes and ensure faster access to affordable medicines for patients. — [Bloomberg Law, P4AD]
Patient Advocate Spotlight: Kevin Baker
Background: 22-year-old college student from Idaho living with Crohn’s disease
Drug: Rinvoq ($6,431)
In the words of his wife Janet:“I’ve lived with Crohn’s disease since I was 11. My current medication, Rinvoq, has a list price of $6,431, and past treatments like Remicade, Humira, and Stelara range from $1,100 to $14,000 per month before insurance. I believe life-saving medicine is a human right.”
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Welcome to the Week in Review.
Round 2 Medicare Negotiation Prices Announced
Last Tuesday, the Centers for Medicare and Medicaid Services (CMS) announced new lower prices for the second round of Medicare drug price negotiations. It’s a major milestone for the program that’s delivering continued savings for patients and taxpayers. Over 5 million patients on Medicare take one of the 15 drugs included in this round, which accounted for $42.5 billion in Medicare Part D spending from November 2023 to October 2024. The announced prices are consistent between both rounds, and according to CMS, Medicare savings will double to $12 billion in 2027, due in part to the inclusion of five additional drugs this round and significant discounts on high-cost GLP-1s. Patients on these 15 drugs have struggled to afford them for years — including patients in our community like Aarolyn from Michigan, and Janet from South Carolina. If these new prices had already been in effect in 2024, patients would have saved $685 million in out-of-pocket costs. For patients who’ve been forced to work multiple jobs, cut pills in half, or choose between filling a prescription and buying groceries, these lower prices will bring long-overdue relief, flexibility, and stability. — [CMS, P4AD, The Hill, CBS News, STAT News, Inside Health Policy, Healthcare Finance]
Entresto, Stelara, and Xarelto to be Removed from Negotiations
In another significant shift for the Medicare negotiation program, CMS announced that Entresto, Stelara and Xarelto will be removed in 2027 after determining that the drugs now face generic or biosimilar competition. These three drugs were included in round one of Medicare negotiations, and their lower negotiated prices will take effect in less than a month, meaning that these prices will be in place for only one year. Medicare negotiation was established as a check on pharma’s monopoly power, specifically targeting drugs that have evaded competition and kept Americans paying between 4 and 8 times more than patients in other high-income countries. One of the criteria for a drug to be included in the program is being single-source, meaning that the product doesn’t have generic or biosimilar versions available in the same class and therefore no bona fide competition on the market. While we don’t yet know the extent to which the new competition will lower the prices for these three drugs — the main concern for the patients who need them — incentivizing generic or biosimilar rivals to enter the market is a win that has historically lowered prices and benefited patients. — [CMS, Inside Health Policy, POLITICO]
Pharma Celebrates New U.S. & U.K. Deal
The U.K. has committed to increasing its spending on new drugs, entering an agreement with the U.S. after facing pressure from the Trump administration and potential pharmaceutical tariffs. The U.K’s National Institute for Health and Care Excellence (NICE) will increase its cost-effectiveness threshold by 25 percent to £35,000 per quality adjusted life year (QALY), meaning that the National Health Service (NHS) will pay more for medicines. This is a massive win for pharma, and predictably the industry’s lobbyists quickly responded by urging other European countries to mirror the agreement. Imposing higher prices on patients in other countries does nothing to reduce the burden on Americans who are forced to decide between paying rent and obtaining life-saving medications. Indeed, the Pharma CEOs that testified at a Senate Finance Committee hearing in 2019, confirmed under oath that they make a profit in every country where they sell their drugs. Hiking expenditures for the U.K. government only boosts the bottom line for one of the most profitable industries on the planet. — [POLITICO, STAT News, POLITICO]
ICYMI
Eli Lilly has officially hit $1 trillion in value — the first “healthcare” company to reach this milestone. Like nearly all pharmaceutical companies industry-wide, Eli Lilly has consistently complained that transformative programs like Medicare negotiation and reforms to rein in drug monopolies will force them to scale back innovation and R&D investment, preferring instead to promote voluntary, one-off agreements, like last month’s GLP-1 deal with the Trump administration. The news of Eli Lilly’s record-high valuation makes their arguments against lowering prices offensive, particularly when 1 in 3 Americans can’t afford the cost of their prescription drugs. — [New York Times, CNBC, Reuters, BioPharma Dive]
Patient Advocate Spotlight: Joe Kerrigan
Background: Patient advocate from Myrtle Beach, South Carolina
Drug: Janumet ($740 per 60-day supply)
In the words of his wife Janet: “Janumet is not just helpful — it’s necessary. But the cost is outrageous. Merck charges our insurance $740 for a 60-day supply. Even with coverage, we end up paying anywhere between $324 and $631, depending on which pharmacy we go to. That’s on top of our $185 monthly Medicare premium. My husband lives on $14,000 a year from Social Security – once we pay for his medicine, we have less than $10,000 left to live on for the year. We’ve come close to bankruptcy — not once, but multiple times — just trying to afford the medications that keep us alive.”
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Patients on Medicare will see an average list price reduction of 62% percent on the 15 included drugs.
WASHINGTON, D.C. — The Centers for Medicare and Medicaid Services (CMS) has announced the new lower prices from the second round of Medicare drug price negotiations, building on the previous administration’s inaugural first round, and delivering significant savings for patients on Medicare.
In 2024, about 5.3 million patients on Medicare used one of the 15 drugs included in this round, which accounted for $42.5 billion in Medicare Part D spending. The newly negotiated drugs include treatments for diabetes, cancer, heart disease, respiratory illnesses, and autoimmune conditions — some of the most common and costly chronic diseases affecting patients on Medicare.
If the new prices had already been in effect in 2024, patients would have saved an estimated $685 million in out-of-pocket costs, while taxpayers would have saved an estimated $12 billion, according to CMS. You can find the full list of price reductions here.
Merith Basey, Executive Director of Patients For Affordable Drugs, issued the following statement:
“The Medicare Negotiation Program changed the trajectory of drug pricing in the United States, helping to reduce Big Pharma’s monopoly pricing power, which dictated prices to Americans on Medicare for two decades. This second round of negotiations — now under President Trump — marks another major milestone, delivering continued savings for patients and taxpayers.”
“The lower negotiated prices are more than numbers on a page. For patients who’ve been forced to work multiple jobs, cut pills in half, or choose between filling a prescription and buying groceries, these lower prices will bring long-overdue relief, flexibility, and stability.”
“As we celebrate this moment, we know the work is far from finished. At a time when 47% of Americans are concerned about their ability to pay for a health-related cost next year, we must keep pushing to ensure Pharma’s attacks to undermine the program fail. Patients fought hard for these reforms, and Americans overwhelmingly support expanding the program — including to the millions of patients in the commercial market still awaiting relief. Today’s announcement is proof that lasting change can happen when patients demand it.”
“The reduced cost of Ozempic is such great news for patients like me who constantly worry about the many expenses in our lives,” said Aarolyn McCullough from Michigan. “I have been a substitute teacher a couple of days a week to bring in extra income and take care of bills. The savings from Ozempic’s reduced price may finally allow me to stop substitute teaching or reduce the number of days I need to.” In 2027, the negotiated list price for Ozempic will be reduced to $274 per month – a 71% list price reduction.
“The reduced price of Otezla is promising news that will allow me to afford the medication, pay down debt, and buy more groceries,” said Mary Schmidt from Texas. “I live on a strict budget and need money for other products to help my autoimmune condition, so these savings really matter to me. People with chronic conditions should not have to suffer.” In 2027, the negotiated list price for Otezla will be reduced to $1,650 per month – a 65% price reduction.
“My husband and I are barely surviving, trying to stay alive, paying exorbitant amounts for medication,” said Janet Kerrigan from South Carolina. “My husband Joe is diabetic, and he depends on his Janumet to keep him in control of his blood sugars. His Social Security is $15,000/year, and the price for Janumet is $500-$700/month. Medicare takes out $185/month, which leaves him with around $7,000 a year to live on. The lowering of Janumet would allow us not to worry if we can afford the medication that is keeping him alive.” In 2027, the negotiated list price for Janumet will be reduced to $80 per month – an 85% price reduction.
Lowering drug prices isn’t a partisan goal — it’s an American one, and Medicare negotiation remains one of the most popular reforms in recent history. Polling this year shows that 96% of voters across party lines say it’s important for the government to negotiate with drug companies – and two-thirds support allowing Medicare to negotiate the prices of all prescription drugs. As Big Pharma’s public favorability continues to fall, the success of negotiation demonstrates strong bipartisan momentum to expand these reforms and deliver further relief to patients.
CMS found that, in 2024, the 15 selected drugs earned over $65 billion in combined total global revenue:
The Medicare Drug Price Negotiation Program was established through the 2022 Prescription Drug law, allowing the federal government to negotiate directly with drug manufacturers for lower prices on the most expensive medications covered under Medicare. The first round of negotiated prices, taking effect in January 2026, covered drugs used by 8.8 million people on Medicare, with list price reductions ranging from 38-79%. Medicare Negotiation will save taxpayers nearly $99 billion over the next decade and prevent more than 656,967 premature deaths over seven years due to improved treatment adherence and affordability.
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Patients For Affordable Drugs Now is the only national, patient advocacy organization focused exclusively on policies to lower drug prices. We empower and mobilize patients and allies, hold accountable those in power, and fight to shape and achieve system-changing policies that make prescription drugs affordable for all people in the United States. P4ADNow is bipartisan and does not accept funding from organizations that profit from the development or distribution of prescription drugs. To learn more, visit: PatientsForAffordableDrugsNOW.org
Welcome to the Week in Review.
New USPTO Proposal Could Undermine Biosimilar Competition
The United States Patent and Trademark Office (USPTO) is considering a new rule that would make it harder for biosimilar manufacturers and patient advocacy groups to challenge drug patents through the Patent Trial and Appeal Board (PTAB) — a process that is faster and more cost-efficient than lengthy court battles. Increased competition through the introduction of generic drugs and biosimilars into the market is one of the most effective tools for lowering the price of prescription drugs, but the difficulty of challenging bad or frivolous patents is one of the biggest barriers to getting these drugs onto the market. Between May and September of this year, the USPTO denied 60% of PTAB challenges, tripling historical rates. If finalized, the new proposed rule would make those denials standard practice. That shift would extend drugmakers’ monopolies and keep prices high for longer, particularly for biologics, which make up just 2% to 5% of prescriptions but accounted for half of all pharmaceutical company revenue in 2024. With patients depending on affordable alternatives, maintaining a strong and accessible PTAB process is critical to protecting competition and ensuring lower prices for consumers. P4AD will be submitting comments urging the USPTO to protect access to this process. — [HealthAffairs, Health Affairs Scholar, GoozNews, KFF Health News]
Fake “Patient Advocacy” Group Backs PERA and Drug Monopolies
A new letter from The Alliance for Aging Research (AFAR) is circulating in support of the Patent Eligibility Restoration Act (PERA), a harmful bill that would broaden what can be patented, allowing drugmakers to claim new protections for minor tweaks to existing drugs. It’s no surprise who’s behind the push. Despite its branding, AFAR is a pharma-funded front group that P4AD exposed in a report earlier this year. They receive significant funding from industry-tied donors in exchange for doing their bidding on Capitol Hill, most recently by supporting the harmful EPIC Act that would undermine Medicare Negotiation. The industry’s renewed promotion of PERA is a last-ditch effort to secure another handout before lawmakers head home for the holidays. — [Congress, P4AD, P4ADNow, Economic Liberties]
GLP-1 Prices Are Driven by Corporate Strategy, Not Patient Impact
After Trump announced deals to bring Novo Nordisk and Eli Lilly’s blockbuster GLP-1 drugs to TrumpRx at discounted prices, Novo quickly moved to undercut Lilly by dropping its own prices even earlier through its direct-to-consumer website. For patients paying cash directly to Novo, Ozempic and Wegovy will cost $199 for the first two months before rising to $349 — the same price point planned for TrumpRx. This response is a critical reminder: these companies can lower their prices at any time, because the list prices for GLP-1s bear no relation to their production costs – Ozempic costs only $5 to manufacture. While the recent voluntary deals we’ve seen do have the potential to save money for a select group of patients, they rely on the goodwill of drug companies and therefore can be taken away at any time. We need system-level reform to ensure lower prices for all Americans, not just for patients covered by a one-off deal or a temporary competitive maneuver. — [CNN, The Hill, Axios, Endpoints News]
DC District Court Rejects Teva Pharmaceuticals’ Challenge to Medicare Negotiation
Yesterday, the U.S. District Court for the District of Columbia rejected Teva Pharmaceuticals’ challenge to the Medicare Drug Price Negotiation Program — marking the 16th defeat against the industry’s nationwide legal campaign to prevent the law from lowering prices. Teva manufactures Austedo and Austedo XR — used to treat involuntary movements associated with Huntington’s disease and tardive dyskinesia — which are included in the second round of negotiation. The deadline for the second round of lower negotiated prices to be announced is November 30th. The court dismissed both Teva’s Fifth Amendment argument as well as the company’s attempt to challenge the law’s grouping of multiple products under a single negotiation unit. Austedo and AustedoXR share the same active ingredient and differ only in delivery mechanism, undermining the company’s claim that the drugs should be treated as separate. The ruling reaffirmed the constitutionality of the historic medicare negotiation program, which is supported by more than 80% of Americans. — [DC District Court, AV]
New Public Citizen Report Exposes Pharma Lobbying
A new report from Public Citizen has revealed the scale of Big Pharma’s lobbying campaign to undermine the Medicare price negotiation program. The analysis found 545 lobbyist-client relationships tied to the ORPHAN Cures Act, EPIC Act, and MINI Act. The findings come as PhRMA reported spending a record-breaking $30 million in the first three quarters of the year. For an industry that continues to claim it can’t afford lower prices, pharma continues to prove it has no trouble paying to protect its profit machine and undermine the will of the American people. — [Washington Post, Public Citizen]
ICYMI
P4AD’s Merith Basey and Fairmark Partners LLC’s Michael Lieberman joined the McGill Journal of Law and Health podcast to discuss pharma’s ongoing legal crusade against drug price negotiations, and how patient advocates are fighting back. You can listen to their conversation here.
Patient Advocate Spotlight: John Aadland
Background: Patient advocate living with COPD in Central Point, OR.
Drug: Trelegy ($300 per month)
In her words: “Even with insurance, my Trelegy prescription costs me more than $300 a month. This forces me to have a friend in Mexico buy it for me at less than a quarter of the price I have to pay here in the United States. A lower price on the medication would allow me to buy it here in the U.S. and avoid the workarounds to be able to access my medication.”
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Welcome to the Week in Review.
White House Announces Agreements With Eli Lilly & Novo Nordisk on Blockbuster Weight Loss Drugs
From the Oval Office on Thursday, President Trump announced lower prices on several blockbuster weight-loss drugs, including Ozempic, Wegovy, and Zepbound, for patients on Medicare, as well as for anyone who purchases them through the administration’s forthcoming TrumpRx direct-to-consumer website. Though many of the details have not been made public, including how the $50 cost-sharing proposal might work in Medicare and how it might affect current plan costs, the White House fact sheet outlined that TrumpRx will offer Ozempic and Wegovy for $350 and Zepbound for $346 per month. That’s a steep reduction from current list prices of between $1,000 and $1,350 per month, but still higher than prices for these drugs in other high-income nations. Additionally, Medicare will now cover these drugs for weight loss, expanding coverage and reducing the price to $245 per month. With Ozempic and Wegovy both included in the second round of Medicare negotiation, important questions remain about how these agreements will relate to the Medicare-negotiated prices and whether this new voluntary initiative will complement or complicate the savings patients are due to receive, especially given that Lilly and Novo have a long history of price-gouging American patients who take insulin and have consistently increased their prices in lockstep with one anotherStill, this announcement is welcome news for patients like Gloria, whose health and well-being depend on one of these life-changing but wildly overpriced drugs. — [White House, KFF, P4AD, Washington Post, STAT News, POLITICO, CBS News, Bloomberg, Washington Post, Wall Street Journal, Endpoints News, STAT News, ABC News, Reuters]
Novo Manipulates Searches to Push Ozempic
Ozempic manufacturer Novo Nordisk spent $7.5 million on paid keywords over the course of two years, according to a new analysis from JAMA, pushing direct-to-consumer advertisements to individuals searching the internet for weight loss solutions despite the drug not being FDA-approved for weight loss. Over 3,500 of the keywords didn’t even contain a mention of the drug, in what the researchers concluded was an attempt to influence consumers and even “potentially circumvent traditional advertising regulations.” Direct-to-consumer (DTC) drug ads are a practice largely unique to the U.S., and estimates have found that each 1.5% increase in DTC TV ad spending is associated with a 10% increase in sales. The Trump administration cracked down on misleading DTC ads with an executive order in September, organizations like Generation Patient have been working to fight DTC social media ads, and we’ve endorsed legislation like The No Handouts for Drug Advertisements Act that would eliminate a tax break that makes it cheap and easy for Big Pharma to flood the airwaves with ads. Internet searches are just another way pharmaceutical companies funnel misleading advertisements directly to consumers through less-regulated methods, and it’s time for the law to catch up. — [JAMA Network, STAT News, TIME, White House, Sen. Hawley, NPR]
AstraZeneca Downplays the Impact of MFN
Following its mid-October MFN drug pricing deal with the Trump administration, AstraZeneca executives are downplaying the financial impact. On Thursday, CFO Aradhana Sarin told Bloomberg that the company could fully “absorb” the cost of the agreement, while at the same time, CEO Pascal Soriot appeared on Bloomberg TV, warning that lower U.S. prices could harm an “environment that attracts investment from large pharma companies”. It’s a familiar contradiction: publicly warning that lower prices will devastate innovation while assuring investors that profits are secure. It’s the same playbook the industry has used with Medicare negotiation for years. Big Pharma has repeatedly claimed negotiation would stifle R&D and limit new cures, yet in shareholder meetings and earnings calls, pharmaceutical executives routinely emphasize that the impact on their bottom line will be minimal. This is an industry that could lose $1 trillion in revenue over a decade and remain one of the most profitable industries in the world, and these conflicting messages reveal what’s really at stake: not innovation, but preserving the system that allows drugmakers to charge whatever they want, for as long as they can. — [Bloomberg, TV Eyes, West Health]
FDA Clears Way for Faster Personalized Gene Editing Therapy
The FDA is set to publish an outline for the agency’s new approach to simplifying custom gene-editing treatments this month, in an attempt to streamline the lengthy and expensive approval process. By allowing patients with related genetic disorders to be grouped into a combined trial, researchers say the cost for custom-made cell and gene treatments could reach a few hundred thousand dollars — still exorbitantly expensive, but a significant improvement over the current multimillion-dollar price tag. While gene and cell therapies have the potential to transform medicine and patients’ lives, offering cures for previously intractable diseases like sickle cell, leukemia, or lymphoma, the lack of a sustainable pricing model in the U.S. means that access is limited. Spain’s decentralized model for manufacturing CAR-T therapy has sped up production times at a cost of one third of the U.S. price, and a similar model was launched in Brazil in 2024 that’s also set to lower CAR-T’s cost. Cell and gene therapies are revolutionary and lifesaving treatments, but only if patients can afford to access them. — [Bloomberg, STAT News, Caring Cross]
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Patient Advocate Spotlight: Kaye Peterson
Background: 67-year-old retired librarian from Lebanon, Kentucky
Condition: Type 1 Diabetes and Polyneuropathy
Drug: Lispro ($639.59 / vial), Lantus ($649.75 / vial), Midodrine ($185.99). Kaye pays $35 per vial for Lispro and Lantus, and Midodrine is covered by her insurance.
In her words: “Even with good insurance coverage, prescription drug prices are still ridiculously high for patients who need them. A minor change in my insurance could leave me with soaring out-of-pocket costs.”
“I believe in lower prescription drug prices because I am way too tired to have to continue asking this question: How many people have to continue to die because they can’t afford their insulin and inhalers?”
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